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Published 28 Dec, 2018 06:58am

11 sugar mills yet to start cane crushing

HYDERABAD: Out of the total 38 sugar mills of Sindh, 27 are said to have started cane crushing for the season 2018-19.

The Sindh government had fixed the date of Nov 30 for the start of cane crushing this year but the process has started belatedly as a notification regarding sugar cane procurement price was issued only in the first week of December.

The mills that have started crushing include a few of those owned by the Omni Group, which is currently facing an investigation into its dubious operations involving money-laundering and other offences. The probe is being conducted by a joint investigation team (JIT).

In the previous season, 34 of the total 38 mills had done cane crushing to produce sugar but in the current season, only 27 have started producing sugar so far. A few more are expected to follow suit in coming days.

While cane production this year has been affected due to water shortage, farmers are not offered the notified rate from millers, who have moved the Sindh High Court against the notified price of Rs182 per 40kg. No interim order has been passed as yet by the court in favour of millers.

Cane growers say that some mills in upper Sindh are paying the notified price but those of lower Sindh are not ready to offer the official rate.

A decline in sugar cane acreage is being reported and it is be assessed by the agriculture department after final figures pertaining to the crop are compiled.

Last year, sugar mills did not pay the notified price of Rs182 per 40kg and instead approached the high court. An arrangement for payment of Rs160 per 40kg was agreed upon between millers and growers with the court leaving the payment of the differential amount subject to a decision by the apex court on identical cases that had been pending before the latter.

Growers claimed that wheat sowing this year had also been affected because of delayed harvesting of the cane crop. In some areas, farmers expect that sugar cane rate would go up in the next few days.

Sindh Chamber of Agriculture vice president Nabi Bux Sathio said that millers, as usual, were denying the notified cane price to farmers this year. He complained that the provincial government also looked the other way leaving growers at the mercy of millers.

The cane growers from lower Sindh are also fighting their case for payment of last year’s liabilities. A committee was formed by the Sindh High Court with equal representation of millers’ and growers’ organisations to take a decision on clearing the dues.

Published in Dawn, December 28th, 2018

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